Established & Reputable Daycare with Real Estate!

Not Disclosed, MD
Calvert County

Asking Price: Annual Revenue:
$1,700,000 $910,362

Services: Children - Child Care, Education

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RE: Established & Reputable Daycare with Real Estate! Broker: Dustin Zeher
Owner Financing is Available!
Seller is willing to provide financing based on the final purchase price, terms and qualifications of the buyer.

Quick Facts

Asking Price: $1,700,000
Annual Revenue: $910,362
Net Profit: Not Disclosed
Cash Flow: $154,264
Total Debt: Not Disclosed
FF&E: $15,000
Real Estate: $1,200,000
Year Established: 1994
Employees: 23
BBN Listing #: 671732377
Broker Reference #: HZ460DZ

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Business Overview:

Excellent opportunity to own an established and reputable daycare center that has been serving the Calvert County market for over 25 years. The center is situated just off a primary thoroughfare and conveniently located in close proximity to several prominent towns. There is a total of 8 classrooms in the center allowing for individualized attention and an ideal pupil to teacher ratio. The center offers programs for infants (starting at 6 weeks) up to children through age 5 including before and after school programs for children up to 15 years old with a maximum capacity of 112 children in total. The center is registered in the Maryland Excels Program and is a Level 3 facility.

The center benefits from its long-standing status in the area and currently has a waiting list for children aged 6 weeks to 3 years old as well as school aged kids. Due to COVID-19, the center was operating at at reduced capacity for a number of months in 2020 which impacted the full year revenue and cash flow numbers. As of the Spring of 2021, enrollment stands at roughly two-thirds of the full capacity and close to the pre-COVID enrollment numbers. The business has had stable revenue and cash flow growth over the last three years with compliant licensing reports. The center is 100% privately paid. There is ample parking along with nicely equipped outdoor play areas.

After a decade of operating the business, the owner has decided to sell the center after relocating out of the area. The owner currently spends a limited amount of time each week largely focusing on general business management, organization, bookkeeping, and payroll. This represents an excellent opportunity to take over a well-run business with strong historical profitability that is run on a near absentee basis. The future owner could easily take on an active day-to-day management role if desired. The childcare industry has seen significant and sustained recent growth, so don’t miss out on the change to own a center with real estate that is a staple in the southern Maryland market.

*Please note, the Revenue and Cash Flow numbers claimed above are the average from 2017-2019 and are based on if the business was owner operated with the owner being the director even though the business is currently semi absentee run with a director in place. If the buyer wanted to keep the business operating with the director the average cash flow would be approx. $40k less to compensate the director.*

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Property Features and Assets:

The center occupies a 7,290 square foot standalone building situated just off a main thoroughfare in Calvert County, MD with excellent street visibility. The building sits on a 1.06 acre lot with an outdoor activity area/playground located just off the main building. There are 8 classrooms along with a full kitchen. Childcare Center Info: Total Enrollment Capacity: 112 Current Enrollment: 75 Average Pre-Covid Enrollment: 90-95 Number of Rooms: 8 Managing Director (Is the Business Owner the Director or is there an Employed Director): There is currently an active director in place as well as an assistant director, but the cash flow claimed is based on an owner operator being the director. Is the center part of any state Subsidy Program (Yes/No): Yes If yes, what is the % of parent pay vs state subsidy?: 0% Is the center part of any state Food Program (Yes/No): No

Market Competition and Expansion:

Competition: Standard competition in the marketplace, but the name, reputation, and size of the center has made this center stand out above its competition. Growth & Expansion: The business has historically operated near full capacity, but enrollment numbers were down in 2020 due to COVID-19. The owners and staff have been working to bring the number of pupils back up to pre-COVID levels and the current enrollment level sits at roughly two-thirds of full capacity. This presents the future owner with the ability to grow and expand the business based on current figures.

Reason for Selling:

Owner has relocated out of the area.

Additional Details:

  • The property is owned.
  • The owner is willing to train/assist the new owner.
  • This is not a homebased business opportunity.
  • This is not a franchise resale opportunity.

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